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Stock-Based Compensation
 12 Months Ended
Dec. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION
The Company has stock incentive plans for executives and eligible employees. Stock awards include stock options, restricted stock, and performance shares. The Company previously awarded stock appreciation rights, restricted stock units, and performance share units. Stock-based compensation expense for the years ended December 31, 2014, 2013, and 2012 was $9.3 million, $4.8 million, and $8.0 million, respectively. At December 31, 2014, there was $8.7 million of unrecognized stock-based compensation cost which is expected to be recognized over a weighted-average remaining vesting period of 1.6 years.
Stock Options and Stock Appreciation Rights
Stock options and stock appreciation rights (SARs) granted under the Company’s incentive plans vest over three years and are exercisable over a period not to exceed ten years from the grant date. The exercise price of the stock options is equal to the fair market value of the shares on the date of the grant. The value of each stock option award is estimated using the Black-Scholes option pricing model. Stock options are accounted for as equity awards and SARs are accounted for as liability awards and remeasured at each reporting date. SARs, when vested, provide the participant the right to receive cash equal to the excess of the market price of the shares over the exercise price when exercised.
The following table sets forth the weighted average fair value of stock options and the assumptions used to estimate the fair value of the stock options using the Black-Scholes option valuation model:
 
2014
 
2013
 
2012
Weighted average fair value of stock options granted
$
3.79

 
$
12.60

 
$
15.77

Volatility
50.93
%
 
76.74
%
 
70.56
%
Expected life in years
3.9

 
5.0

 
5.5

Risk-free interest rate
1.25
%
 
0.84
%
 
0.89
%
Dividend yield
—

 
—

 
—


The following table summarizes stock option and SAR activity for the years ended December 31, 2014, 2013, and 2012:
 
Stock Options
 
SARs
 
Shares
 
Weighted
Average
Exercise
Price
 
Shares
 
Weighted
Average
Exercise
Price
Outstanding at December 31, 2011
321,607

 
$
24.60

 
107,639

 
$
13.46

Granted
151,102

 
26.97

 
—

 
—

Exercised
(40,173
)
 
11.84

 
(34,385
)
 
12.73

Canceled/forfeited
(62,536
)
 
29.22

 
(4,389
)
 
15.40

Outstanding at December 31, 2012
370,000

 
30.20

 
68,865

 
13.83

Granted
190,452

 
20.41

 
—

 
—

Exercised
(13,027
)
 
10.77

 
(6,617
)
 
13.14

Canceled/forfeited
(131,855
)
 
29.30

 
(12,039
)
 
15.40

Outstanding at December 31, 2013
415,570

 
27.36

 
50,209

 
14.15

Granted
415,172

 
9.45

 
—

 
—

Canceled/forfeited
(232,396
)
 
23.94

 
(3,637
)
 
15.40

Outstanding at December 31, 2014
598,346

 
$
16.26

 
46,572

 
$
14.06


 
 
Options Outstanding
 
Options Exercisable
Range of
Exercise Price
 
Number
Outstanding
 
Weighted Average
Exercise
Price
 
Weighted
Average
Remaining
Contractual
Life (Years)
 
Number
Exercisable
 
Weighted
Average
Exercise
Price
 
Weighted
Average
Remaining
Contractual Life (Years)
$ 0.00-$10.00
 
284,866

 
$
9.34

 
9.04
 
11,034

 
$
10.00

 
4.09
$10.00-$20.00
 
121,540

 
15.51

 
8.43
 
33,646

 
17.33

 
8.11
$20.00-$30.00
 
176,777

 
25.68

 
6.88
 
107,546

 
26.37

 
6.27
$30.00-$40.00
 
9,566

 
38.25

 
2.44
 
9,566

 
38.25

 
2.44
$40.00-$50.00
 
3,336

 
48.50

 
3.03
 
3,336

 
48.50

 
3.03
$50.00-$60.00
 
2,261

 
51.40

 
1.14
 
2,261

 
51.40

 
1.14
 
 
598,346

 
$
16.26

 
 
 
167,389

 
$
24.93

 
 

At December 31, 2014, there was $0.7 million of unrecognized compensation cost related to non-vested stock options and SARs to be recognized over a weighted average period of 1.3 years.
Restricted Stock and Restricted Stock Units
Restricted stock granted under the Company’s incentive plans are accounted for based on the market value of the underlying shares on the date of grant and vest in equal installments annually over three years. Restricted stock awards are accounted for as equity awards and restricted stock unit awards were accounted for as liability awards. Restricted stock units were remeasured at each reporting date and settled in cash based on the number of vested restricted stock units multiplied by the current market price of the common shares when vested. Holders of restricted stock are entitled to vote the shares and to receive any dividends declared on the shares.
The following table summarizes restricted stock and restricted stock units activity for the years ended December 31, 2014, 2013, and 2012:
 
Restricted Stock
 
Restricted Stock Units
 
Number of
Shares
 
Weighted
Average
Grant Date
Fair Value
 
Number of
Units
 
Weighted Average
Fair Value
Outstanding at December 31, 2011
173,509

 
11.37

 
45,518

 
27.32

Granted
230,096

 
26.40

 
—

 
—

Vested
(95,336
)
 
23.15

 
(31,456
)
 
25.92

Cancelled/Forfeited
(68,571
)
 
27.43

 
(2,651
)
 
24.60

Outstanding at December 31, 2012
239,698

 
25.38

 
11,411

 
24.14

Granted
573,467

 
15.38

 
—

 
—

Vested
(90,963
)
 
26.83

 
(11,411
)
 
22.74

Cancelled/Forfeited
(109,116
)
 
23.30

 
—

 
—

Outstanding at December 31, 2013
613,086

 
$
16.68

 
—

 
$
—

Granted
695,897

 
9.83

 
—

 
—

Vested
(234,103
)
 
17.16

 
—

 
—

Cancelled/Forfeited
(172,881
)
 
11.87

 
—

 
—

Outstanding at December 31, 2014
901,999

 
$
12.19

 
—

 
$
—


At December 31, 2014, there was $3.4 million of unrecognized compensation cost related to restricted stock and restricted stock unit awards to be recognized over a weighted-average period of 1.4 years.
Performance Shares and Performance Share Units
Performance shares granted under the Company’s incentive plans are accounted for at fair value using a Monte Carlo simulation valuation model on the date of grant. Performance share awards are accounted for as equity awards and performance units are accounted for as liability-based awards and remeasured each reporting date. Vesting is contingent on meeting certain market conditions based on relative total stockholder return and on meeting internal performance conditions. The performance shares vest at the end of the three-year service period if market and service conditions are met. The existence of a market condition requires recognition of compensation cost for the performance share awards over the requisite period regardless of whether the market condition is satisfied. Performance share units were settled in cash based on the current market price of the common shares when vested.
The following table summarizes performance shares and performance units’ activity for the years ended December 31, 2014, 2013, and 2012:
 
Performance Shares
 
Performance Units
 
Number of
Shares
 
Weighted
Average
Grant Date
Fair Value
 
Number of
Units
 
Weighted Average
Fair Value
Outstanding at December 31, 2011
105,929

 
$
16.29

 
84,539

 
$
35.41

Granted
145,508

 
25.78

 
32,498

 
—

Vested
(111,703
)
 
7.96

 
(74,845
)
 
31.17

Cancelled/Forfeited
(30,575
)
 
42.11

 
(7,953
)
 
49.20

Outstanding at December 31, 2012
109,159

 
26.92

 
34,239

 
39.78

Granted
173,773

 
23.35

 
34,239

 
38.02

Vested
(4,160
)
 
30.97

 
(68,478
)
 
38.02

Cancelled/Forfeited
(68,377
)
 
34.49

 
—

 
—

Outstanding at December 31, 2013
210,395

 
28.04

 
—

 
—

Granted
358,398

 
12.21

 
—

 
—

Vested
(34,611
)
 
27.18

 
—

 
—

Cancelled/Forfeited
(17,352
)
 
27.15

 
—

 
—

Outstanding at December 31, 2014
516,830

 
$
17.61

 
—

 
$
—


At December 31, 2014, there was $2.9 million of unrecognized compensation cost related to performance shares to be recognized over a weighted average period of 1.8 years.
Supplemental Incentive Plan
During 2014, the Company adopted a supplemental incentive plan, under which benefits are payable upon achievement of certain performance and market conditions.  The maximum potential bonus under the plan is $3.8 million, of which $2.8 million may be settled in cash or stock at the Company’s discretion.  At December 31, 2014, $0.6 million has been accrued for this plan.